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Jan 27, 2023

Baker Sterchi Obtains Dismissal of an Appeal of a Favorable Summary Judgment Ruling

Baker Sterchi recently obtained dismissal of an appeal from a summary judgment ruling in favor of its client, a telecommunications company. In December, the Circuit Court granted summary judgment in favor of Baker Sterchi’s client on the parties’ cross-motions for declaratory judgment on the interpretation of an LLC operating agreement. The Circuit Court found that the plain language of the operating agreement did not permit a minority LLC member to expel the other majority members. The Circuit Court had previously granted Baker Sterchi’s client a temporary restraining order and permanent injunction, prohibiting the opposing party from taking any actions in furtherance of its attempts to expel the other members.

The opposing party then sought an interlocutory appeal of the summary judgment order. Baker Sterchi argued that the summary judgment in its client’s favor was not an appealable final judgment, as it did not dispose of all the claims and parties in a case. Furthermore, the Circuit Court had not certified the judgment for immediate appeal, nor would the judgment have been eligible for certification. The Court of Appeals agreed and dismissed the appeal.